Page 41 - October 2020
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SPECIAL FEATURE: RETAIL EXPANSION
In the last few months, grocery retail has changed FRED PERRY
fundamentally, for the short term at least. The in-store Five Tips
experience has evolved as retailers have put social-distancing
measures into place. Customer numbers have been limited,
flow is being manged and the checkout experience has been
transformed. This is according to Stewart Samuel, Program
Director IGD Services Canada in his piece ‘What will grocery for Global Expansion
retailing look like in a post-Covid-19 world?’
Samuel expresses that the trading environment has
already adapted to the coronavirus pandemic and
many of the changes put in place to support physical
distancing are expected to remain, with retailers starting
to consider the implications for future store design.
Physical stores will need to be more agile and flexible
to accommodate extreme trading cycles and a stronger
focus on operational efficiency versus retail theatre
could be a legacy of the pandemic. Online grocery
retail is expected to remain at an elevated penetration,
relative to pre-crisis levels and retailers are investing
in expanding fulfilment capacity and new operators
are attracted by the enhanced growth opportunities.
LIFE AFTER COVID-19: As retailers reconsider the layout and locations of their stores
WHAT’S NEXT FOR RETAIL? the world over, some continue to expand their global reach –
Brands have had to adapt and learn over the lockdown
period and throughout the coronavirus outbreak. An looking at opening new stores in towns and cities across Europe.
example of this is Hotel Chocolat, who have adapted as
demand grew online as stores shut. The brand was forced Here, Neil Coales, Founder of Pan-European construction
to close its shops and shift stock - and transactions – online
for the Covis-19 lockdown, will inform its future strategy. firm, Agilité Solutions – who counts the likes of Fred Perry,
Angus Thirwell, Co-Founder and Chief Executive of Hotel JD Sports, Five Guys and Tiffany & Co among its roster –
Chocolat said: “The challenges of Covid-19 have pushed
us to accelerate many of our existing plans and strategic BROOK’S BROTHERS looks at five things to take into account from the start…
W emerge, as a blend of retail, hospitality and pertinent topic at present – and one that has been heighted
initiatives, helping to; strengthen our financial position, ith a new-look shopping district starting to Understandably, disabled access and egress is a particularly
improve our multichannel capability, deepen customer leisure outlets co-exist to encourage local because of the pandemic. How a space is laid out, and
engagement and loyalty, and accelerate the rate of product Winvestment and socio-economic growth, what the public’s journey through it, must be carefully managed
innovation, whilst continuing to make good progress in our should brands consider when setting up shop in a new location? throughout all elements of the planning, construction, and
two new sizeable markets of the USA and Japan.” 1. BEGIN BY FINDING THE RIGHT PROPERTY fit-out stages.
In a separate example, Card Factory has stepped up its Whether an independent store or a multi-national franchise, it’s 4. DON’T FORGET THE FAÇADE
multichannel investment in the last few months, launching important to work with a local property consultant who has Catching the eye of passers-by has never been more
a new e-commerce website, trialling click and collect and ‘on-the-ground’ knowledge of the region you’re looking at. Lease important for retailers, but for those who rely on their
planning a mobile app as it looks to differentiate itself from terms and building regulations can vary significantly from country- consistent visual identity as part of their curb appeal, it’s
online-only competitors. It is also pausing new store format to-country, while some markets can be quite closed to ‘outsiders’ worth knowing what is, and isn’t, permitted in your potential
trials as it looks to understand where shoppers will want to – particularly where prime property locations are concerned. new home.
buy in the future. The steps came after online sales growth 2. CONDUCT A STRUCTURAL SURVEY PRIOR Paris and Prague, for example, have different rules and
of 120 per cent during the Covid-19 lockdown helped TO SIGNING departments for potential changes to the frontage in
Card Factory offset the effect of shutting its more than Once you’ve found the ideal home for your new store, protected areas – such as historic buildings or prestigious
1,000 UK shops. compare any architectural plans or drawings with a physical postcodes – and these extra layers of administration can
The future of retail may look very different by the end of site visit and structural survey. Buildings are often updated, have a knock-on effect on schedules and plans.
this year, a stark contrast from the start of the year, and a reconfigured, and extended over time – without such changes 5. STAFF FACILITIES MUST BE TAKEN
key example of this is humanless retail, highlighted by H&M being translated onto official records. Taking the time to fully INTO ACCOUNT
Group who has launched its first automated-retail store understand the dimensions and nuances of a location is a Alongside the regulations for the shopfront and interior, there
using smart vending machines in Paris. The retail experience crucial component of design, planning and budgeting. are also guidelines around the infrastructure which needs to
is centred on a huge interactive touch screen with a custom 3. INCORPORATE REGULATIONS AND be in place for the back of house too. For example, in France
software interface; the machine features beautifully presented PERMISSIONS INTO YOUR ESTIMATES there are strict rules around providing changing facilities for
illuminated display windows showcasing a curated selection There are several things to consider when forecasting investment colleagues, and places to prepare and reheat food.
of the brands scented bath and body products. The Paris unit levels – both in terms of time and money – particularly regarding While kick-starting the global economy and a desire to ‘get
is just the first step, as there are big plans for humanless retail a change of use. If you’re looking to open an interiors outlet back to normal’ offers an opportunity for retailers looking
with a widespread rollout of the machines set for 2021. in the newly-vacated home of a ladies wear brand, it can be to entice shoppers back across the threshold, taking the
The fallout – and recovery – of the retail industry will vary reasonably straightforward. Whereas converting a restaurant time to fully understand the country you’re looking at – and
by sub-sector, all of which will be facing different challenges into a shoe shop will inevitably present much more regulatory surrounding yourself with the right people and information
H&M and obstacles in this new world of retail. paperwork – which differs from locality to locality. to help get your ‘ducks in a row’, is key.
OCTOBER 2020 RETAIL & LEISURE INTERNATIONAL 41

